I am discussing one of the very key issues of Oracle Set-up which is "Dynamic Insertion". Dynamic insertion as such is an optional Accounting Flexfield feature available in set-up. With "Dynamic Insertion" enabled, it allows users to create new account combinations while entering data in Oracle Applications.

The key to getting it right is to decide at the beginning of the implementation whether you want to use Dynamic Insertion or not. When Dynamic Insertion is enabled, it is not neccesary to define every possible account combination that can exist. The risk is it might result in some unwanted account code combinations due to errors in data entry. However, I think it helps since you do not have to define and enter a long list of account combinations.

My advise to people who are implementing is enable Dynamic insertion when you are migrating data from a legacy application into GL. Once implementation is complete, you can sit down and decide the list of valid account code combinations that you want to keep by pruning the list. As an option, dynamic insertion can also be disabled. At the end of the day, it's the company policy and management decision as to what suits the businesses requirements. I suggest you keep the above things in mind before you go in for Dynamic Insertion.